White House considers waiving 106-year-old Jones Act to ease oil deliveries amid war with Iran

In the interest of national defense, the White House is considering waiving the Jones Act for a limited period of time to ensure vital energy products and agricultural necessities are flowing freely to US ports, spokesperson Karoline Leavitt said, adding that the decision has not been finalized.

A White House official separately assured that any waiver would not affect American shipbuilding.

The Jones Act, formally known as Section 27 of the Merchant Marine Act of 1920, requires that all goods transported by water between US ports be carried on US-built, US-flagged vessels owned and crewed by American citizens and permanent residents.

A waiver would allow foreign vessels to fill the gap during the supply disruption.

The escalation in the Middle East flared since Israel and the US launched a joint attack on Iran on Feb. 28, disrupting shipping through the Strait of Hormuz.

Earlier, U.S. president Donald Trump said the United States will build its first new oil refinery in half a century, backed by a major investment from India’s energy giant Reliance Industries.